30 Year Mortgages At 4.85%!
Mortgage rates have hit record lows. You can get a 30 year fixed-rate mortgage for 4.85%. The 15 year is at 4.58%. I don’t think mortgages have ever been this cheap. According to Frank Nothaft, Freddie Mac chief economist, “The Federal Reserve’s announcement that it intends to purchase Treasury securities over the next six months caused bond yields to drop and mortgage rates followed.”
Meanwhile, home sales are up for the 2nd month in a row. Some people think this is a sign of a stabilizing of the housing market and higher prices are likely to follow.
So are home prices really bottoming out? Some of the things to consider are
- Foreclosures made up a significant portion of all home sales.
- Prices are still dropping.
- There is significant inventory overhang in many markets
- Banks haven’t listed a lot of foreclosed properties for sale yet, mainly to prevent this supply from further depressing prices
- A large number of ARMs are adjusting next year. This might cause the whole cycle to repeat and prices to fall further.
- It’s becoming more difficult to qualify for a home loan and the days of 100% or 105% financing are gone.
And if you think higher home prices are on the horizon, check out these real estate prices.
If you found this post helpful, consider donating to my coffee fund!![[del.icio.us]](http://images.del.icio.us/static/img/delicious.small.gif){kind=small}
- Real Estate Forecast 2009 As a member of the school's Real Estate Club, I got a pretty interesting update on the real estate forecast for 2009. This is just the summary. The whole article was signficantly bigger. A lot of it is obvious, but it's still a good comprehensive list. Serious dislocation has resulted......
-
Real Estate: No Bottom Yet? John Mauldin is an investment adviser and president of Millennium Wave Investments. He sends out an interesting weekly newsletter, which most recently focusedon the current real estate market. It seems like the bottom isn't in sight yet: Analyst contend that much of the bad news in the subprime-loan and housing...... - The Easy Hassle Free Way To Invest In Real Estate If you're like most people, you want to invest in real estate only there are some obstacles you need to overcome, like1. You've never done it before & you don't know how2. You know how to do it but your credit sucks or you're tapped out from too many loans......
Related Websites
- Real Estate - Latest News Real Estate News from around the blogosphere: Las Vegas Real Estate: Home Selling Tips For a Faster Sale | Real ...Some home sellers wait for months for a buyer. While others have one in days. Why is that? Ten Reasons to buy Mexico Real Estate in Year 2010 | Information......
- Real Estate Investments - Good Idea or Bad Idea? Right now, if there was a market that had bad news written all over it, it would be real estate. The housing crisis has made investors jumpy, the economy appears to be tanking and home values are plummeting across the country. Would you believe that this is actually a good......
- Real Estate Flat Fee of $3,995 Now Available in Florida Progressive Homesellers announced today that it is operating in Florida offering flat fee real estate commission. This should present a welcome option to homeowners who do not want to pay the 6% or 7% standard real estate fees. "Florida homeowners can visit http://www.ProgressiveHomesellers.com and list their property for a flat......
[All content is copyright of Living Off Dividends & Passive Income]
Leave a Reply